ROTHSCHILD, WI (WTAQ) – We Energies is getting some heat for not using its new bio-mass power plant near Wausau as much as it expected.
The Milwaukee-based electric utility teamed up with the Domtar paper mill in Rothschild to open the plant in late 2013.
We Energies expected it to be used 45 percent of the time last year — but the Milwaukee Journal Sentinel said it only ran 16 percent of the time.
In December, the plant was shut down for 6 months for repairs while it was covered under warranty — which the utility said was a prudent thing to do.
The plant burns wood waste and sawmill scraps. It provides steam for Domtar’s factory, while helping We Energies meet its state mandated requirements for producing electricity from renewable sources.
The Citizens Utility Board says that unlike We Energies’ other plants, customers keep paying for fuel for the bio-mass plant even when it’s not running.
Domtar says it’s happy with how the project has worked out for them, despite the plant’s lack of usage.
We Energies blames it on the warranty repairs, a brutally cold winter in 2014, and low natural gas prices which make it more efficient to use gas for making power at its other facilities.
Federal taxpayers picked up about $75 million of the plant’s total price tag of $306 million. Domtar covered $60 million. We Energies and its customers paid for the rest.
(Story courtesy of Wheeler News Service)